Goldman Sachs(US:GS) Sou Hu Cai Jing·2025-08-28 15:44Group 1 - Goldman Sachs predicts that oil prices may drop to $50 per barrel by the end of 2026 due to an oversupply in the oil market, exacerbated by Russia's increase in oil export plans [1][2] - The report indicates a projected daily oversupply of 1.8 million barrels from Q4 2025 to Q4 2026, leading to a global inventory increase of nearly 800 million barrels, with OECD countries holding one-third of this inventory [2] - The forecast suggests that Brent crude oil's "fair value" will decrease from the current range of $70 to the $50 range, particularly as inventory continues to accumulate in 2026 [2] Group 2 - The decline in oil prices is expected to significantly impact the U.S. Consumer Price Index (CPI), particularly the energy component, which could lead to a reduction in core CPI and increase pressure on the Federal Reserve to lower interest rates [2][3] - There are concerns regarding the independence of the Federal Reserve, with potential implications for the U.S. dollar's value if President Trump successfully exerts more control over the Fed [3][4] - The weakening dollar is likely to benefit emerging market assets, with increased investment in Hong Kong stocks observed as liquidity conditions improve [4][5] Group 3 - Recent data shows a significant increase in southbound capital flows into Hong Kong stocks, with record net purchases of HKD 35.876 billion on August 15 and continued strong inflows in subsequent days [5] - The Hang Seng Technology Index ETF has seen over HKD 5 billion in net inflows over the past 20 trading days, indicating a heightened interest in technology sector investments [5] - The overall sentiment in the Hong Kong market is expected to improve due to the anticipated interest rate cuts by the Federal Reserve, which could further support the performance of Hong Kong stocks [5]